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Institutional Change and Governance Indexes in Transition Economies: the case of Poland

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  • Pasquale Tridico

Abstract

In the former communist countries, institutional change, i.e. transition towards market economy, is affected not only by introduction of law and formal institutions (change "by design"), but also by social norms, old values and habits (informal institutions). I present an empirical paper focusing on transition of the Polish Economy. I used a questionnaire which was administered to a sample of about 1000 Polish firms in order to verify the impact of economic institutions on the "residual productivity". Throughout the questionnaire I built six governance indexes. Then I tested the impact of the governance indexes on the productivity of firms. I observed that the economic performance of the eastern regions of Poland, where governance indexes are worse than western, are poorer than that of the western regions of Poland

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Bibliographic Info

Article provided by Cattaneo University (LIUC) in its journal The European Journal of Comparative Economics.

Volume (Year): 3 (2006)
Issue (Month): 2 (December)
Pages: 197-238

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Handle: RePEc:liu:liucej:v:3:y:2006:i:2:p:197-238

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Related research

Keywords: formal and informal economic institutions; trust; transition economics; governance indexes; productivity;

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References

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  1. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, American Economic Association, vol. 91(5), pages 1369-1401, December.
  2. Pasquale Tridico, 2006. "Institutional change and human development in transition economies," Departmental Working Papers of Economics - University 'Roma Tre', Department of Economics - University Roma Tre 0059, Department of Economics - University Roma Tre.
  3. David Y. Albouy, 2008. "The Colonial Origins of Comparative Development: An Investigation of the Settler Mortality Data," NBER Working Papers 14130, National Bureau of Economic Research, Inc.
  4. Olson, Mancur, Jr & Sarna, Naveen & Swamy, Anand V, 2000. " Governance and Growth: A Simple Hypothesis Explaining Cross-Country Differences in Productivity Growth," Public Choice, Springer, Springer, vol. 102(3-4), pages 341-64, March.
  5. Pranab Bardhan, 2005. "Institutions matter, but which ones?," The Economics of Transition, The European Bank for Reconstruction and Development, The European Bank for Reconstruction and Development, vol. 13(3), pages 499-532, 07.
  6. Edward L. Glaeser & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2004. "Do Institutions Cause Growth?," Journal of Economic Growth, Springer, Springer, vol. 9(3), pages 271-303, 09.
  7. Joel S. Hellman & Geraint Jones & Daniel Kaufmann & Mark Schankerman, 2000. "Measuring governance and state capture: the role of bureaucrats and firms in shaping the business environment," Working Papers, European Bank for Reconstruction and Development, Office of the Chief Economist 51, European Bank for Reconstruction and Development, Office of the Chief Economist.
  8. Antonelli, Cristiano, 2005. "Models Of Knowledge And Systems Of Governance," Department of Economics and Statistics Cognetti de Martiis LEI & BRICK - Laboratory of Economics of Innovation "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio 200501, University of Turin.
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Cited by:
  1. de Jong, Gjalt & Phan, T. Binh & van Ees, Hans, 2011. "Does the meta-environment determine firm performance? Theory and evidence from European multinational enterprises," International Business Review, Elsevier, Elsevier, vol. 20(4), pages 454-465, August.
  2. Nora Elbialy & Moamen Gouda, 2011. "Enforcing IPR through Informal Institutions: The possible role of religion in fighting software piracy," MAGKS Papers on Economics, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung) 201120, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
  3. Vasary, Viktoria, 2006. "The Common Agricultural Policy In Relation To Institutional Economics," GAZDÁLKODÁS: Scientific Journal on Agricultural Economics, KÁROLY RÓBERT OKTATÓ-KUTATÓ Kht., KÁROLY RÓBERT OKTATÓ-KUTATÓ Kht., vol. 50(17).

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